India’s Department of Telecommunications (DoT) has implemented comprehensive measures to combat SIM card fraud and enhance the security of personal documents, building on its Sanchar Saathi digital security initiative launched earlier this year. The initiative includes mandatory verification of SIM card dealers, which was introduced in August 2023 to address online financial fraud and spam communications, responding to a surge in SIM card-based scams that have cost the country billions in fraud losses.
Under the new regulations, all franchisee, point of sale (PoS) agents, and distributors must be registered with telecom operators within a 12-month period. Major private telecommunications companies including Reliance Jio, Bharti Airtel, and Vodafone Idea have completed their agent registrations by January 31, 2025, while state-operated Bharat Sanchar Nigam Ltd. (BSNL) has requested an extension due to technical issues.
The DoT has strengthened Know Your Customer (KYC) requirements by eliminating the bulk connections framework and implementing a business connections system that requires KYC verification for each end-user before activation. Additionally, enhanced KYC protocols have been established for SIM swap and replacement procedures, addressing vulnerabilities that have led to significant losses through SIM swap fraud globally.
The government has introduced a new platform called Chakshu to enable users to report fraudulent activities and spam calls. The Telecom Regulatory Authority of India (TRAI) is implementing blockchain technology, specifically Distributed Ledger Technology (DLT), to manage spam control measures and maintain immutable records of message origins.
“TRAI has mandated the use of Distributed Ledger Technology (DLT) to enhance its spam control measures. Blockchain technology allows for a constantly updated and tamper-proof list of approved SMS senders and message formats,” said TRAI Chairman Anil Kumar Lahoti. “This ensures that only legitimate messages are sent, as each entry is unalterable by any party involved.”
The Do-Not-Disturb (DND) registry has been established to allow customers to opt out of commercial communications. As of 2024, telecom providers are required to incorporate DND reporting capabilities within their applications, complementing the Reserve Bank of India’s recent mandate for specific phone number series for banking communications.
“The mandate of verification would help in eliminating the rogue PoS who by fraudulent practices issue SIMs to anti-social or anti-national elements,” said a DoT official. “While the private telcos have 400,000-600,000 PoS across the country, the number for BSNL is a bit lower. As per the government mandate, the PoS registration process includes indisputable verification by telcos. As per the mandate, which would now come into force from April 1, there should be a written agreement between the PoS and the telecom operator. If a PoS indulges in any illegal activities, it will be terminated and blacklisted for a period of three years.”
Sources: Good Returns, CyberPeace, Economic Times, Civils Daily, Telecom Talk
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